Nov. 26, 2014, 7:45 AM
- The bank is looking to transfer its 26.8% stake in Tonopah Solar Energy, LLC to a new holding company, with two Canadian public pension funds each holding about a one-third interest in the JV, reports the WSJ. Financial terms weren't disclosed and Santander (NYSE:SAN) is currently seeking regulatory approval for the move.
- In other news, the bank yesterday agreed to buy a $300M consumer loan portfolio from the Mexican unit of Scotiabank, and Santander says about 90% of the more than 47K clients in the portfolio represent new business opportunities.
Nov. 25, 2014, 5:37 AM
- Banco Santander (NYSE:SAN) has named former CFO Jose Antonio Alvarez as chief executive officer to replace Javier Marin, who had held the position for less than two years.
- His appointment is the first big management shake-up at the euro zone's biggest bank since Ana Botin became chairman after her father's death in September.
- The bank also named Jose Garcia Cantera as new CFO and appointed three new independent members to its board.
- SAN +1.6% premarket
Nov. 6, 2014, 9:13 AM
- GE (NYSE:GE) Capital has closed the sale of its GE Money Bank consumer finance business to Santander (NYSE:SAN).
- "This sale is part of our overall strategy to focus GE Capital on our commercial portfolio with a goal of becoming 25% of GE’s overall earnings," says GE Capital CEO Keith Sherin.
- Previously: Santander to acquire GE Money Bank
Nov. 3, 2014, 11:34 AM
- It's a second day of sharp losses for Banco Santander Brasil (BSBR -7.8%) after Banco Santander (SAN -1%) on Friday announced plenty of willing takers for its exchange offer for shares in BSBR it didn't already own. About 13.65 of BSBR's share capital tendered, boosting Santander's stake in its Brazilian unit to 88.3%.
- To pay for the deal, Santander will issue 371M shares, or roughly 3.09% of its share capital.
- Also not helping BSBR today is a 2.3% decline in Bovespa.
Oct. 27, 2014, 12:52 PM
- “Judging from the market reaction today, investors don’t completely believe in the ECB," says Peter Garnry, head of equity strategy at Saxo Bank. "They are more pessimistic on the banks."
- Financial firms were among the worst performers today following the release of ECB stress tests over the weekend, falling 0.9% vs. the Stoxx Europe 600's decline of 0.6%. Hardest hit were the Italian lenders after that country's banks made up a disproportionate share of those who failed the exams. Not failing, but nevertheless hit: Unicredit (OTCPK:UNCFF, OTC:UNCFY) -2.6%, Intesa Sanpaolo (OTCPK:IITOF, OTCPK:IITSF, OTCPK:ISNPY) -3.1%. Italy's FTSE MIB index (NYSEARCA:EWI) led European declines, falling 2.3%.
- Also taking a hit despite no issues from the stress tests were Europe's larger banking powers: Santander (SAN -3%), Deutsche Bank (DB -1.6%), ING (ING -1.8%), BBVA (BBVA -2.3%).
- EUFN -1.4%
- Previously: ECB stress test failures centered among Italian banks
Oct. 24, 2014, 2:44 AM
- Thirty-one banks are set to participate in the Fed's 2015 stress tests, which will see how they can withstand pressures such as a spike in oil prices, a rise in the U.S. unemployment rate or an increase in risky corporate loans. The capital plans are due in January.
- Among the bank's that failed last year's tests are Citigroup (NYSE:C), and the U.S. units of HSBC (NYSE:HSBC), Santander (NYSE:SAN) and RBS (NYSE:RBS).
- Deutsche Bank (NYSE:DB) will participate for the first time, and has already felt pressure from the NY Fed, which has told it in a private letter that its regulatory reports were "low quality, inaccurate and unreliable".
- This Sunday, the ECB will release results for stress tests of 130 eurozone banks amid a deteriorating economic outlook for the region.
Oct. 8, 2014, 2:18 AM
- Eighteen of the world's largest banks, ranging from Credit Suisse (NYSE:CS) to Goldman Sachs (NYSE:GS), have agreed to give up the right to "close out" deals on derivatives contracts if a financial institution runs into trouble, FT reports.
- The International Swaps and Derivatives Association is due to announce the agreement to change its “protocols”, which govern the $700T market, in the next few days. They will take effect from January 1, 2015.
- Related stocks: HSBC, JPM, OTC:BNPZY, DB, BCS, BAC, SAN, C, RBS,
Sep. 26, 2014, 3:33 PM
- The New York Fed pushes back against allegations that it was too soft on big banks -- particularly Goldman Sachs (NYSE:GS) in a transaction involving Banco Santander (NYSE:SAN), a deal that got new interest when secret recordings by former examiner Carmen Segarra came to light today.
- Segarra filed suit against NY Fed claiming she was fired for criticizing Goldman Sachs just seven months after being assigned to investigate GS practices. Her case was thrown out this year.
- The examiner had made 46 hours of recordings, though, and ProPublica reports they show a Fed that was loath to push hard against Goldman, especially a regulatory capital deal where Santander was to transfer some shares in a Brazilian subsidiary to Goldman to cut capital requirements.
- A former Fed official is on the recordings saying that deal was not illegal, but "shady."
- WSJ: NY Fed staff afraid to speak up, secret review found
Sep. 18, 2014, 11:17 AM
- At issue was a $0.15 per share dividend paid in May by Santander Consumer USA (SC +0.1%) despite the fact that the capital plan submitted by Santander Holdings - the U.S. unit of Santander (SAN +1.2%) - had not been approved by the Fed.
- Santander quickly mitigated the violation by injecting $20.8M into its U.S. operation, and today agrees to strengthen its board oversight of management regarding any capital returns.
Sep. 16, 2014, 7:13 AM
Sep. 15, 2014, 7:50 AM
- “The group has the capital base, balance-sheet strength and capacity for revenue generation necessary” for growth, says new Santander (NYSE:SAN) chief Ana Botin, who took over for her father last week after he passed away. Speaking at a shareholder meeting where owners approved the stock issuance necessary to fund a bid for up to 25% of the bank's Brazilian operation which it doesn't already own, Botin pledged to pursue her father's "clear vision" and "prudent risk-taking."
- Santander is one of the few European lenders not regularly publishing its capital ratio under Basel III rules, and the elder Botin said in January the bank would aim for a capital ratio under that standard of 9% by year-end.
Sep. 10, 2014, 12:00 PM
- As has been long-expected, Ana Botin is appointed to replace her father as board chairman at Santander (SAN -0.6%).
- Though no surprise, the move could face some criticism given the questioning of European banking dynasties amid the scandal at Portugal's Banco Espirito Santo. "Succession shouldn't just be saying 'my daughter's going to take over," says a corporate governance expert.
- On the other hand, says a fund manager, continuity could be an asset: "The key issue is whether or not family control is a good or a bad thing. Ultimately this depends on individuals and [Botin's] daughter is a chip off the old block."
- Previously: Santander shares down after chairman dies
Sep. 10, 2014, 6:20 AM
- Shares of Banco Santander (SAN, BSBR, BSAC, OTCQB:BCDRF) -1.2% premarket following news that 79-year-old chairman Emilio Botin died of a heart attack on Tuesday night. (press release)
- Under his tenure, Santander grew through aggressive acquistions, and through the introduction of novel banking services. Today, SAN is the largest bank in the eurozone by value.
- But analysts still question the lender's capital position, with much of its strength in its many subsidiaries.
- His death raises the question of succession. Botin's share in the bank isn't large enough to guarantee his daughter Ana's control. (BBC)
Aug. 18, 2014, 3:47 AM
- Eurozone banks are expected to borrow about €250B in cheap four-year money from the European Central Bank in September and December under the ECB’s "targeted long-term financing operations".
- The new loans would come on top of the more than €1T in cheap finance the ECB pumped into the financial system between late 2011 and 2012 to avert a financial crisis.
- The new funds are expected to boost lending to the region’s credit-starved businesses.
- Europe’s economic outlook has not been pretty. Last week, figures outlined a slowdown in Germany and France and Italy in recession.
- Related stocks: SAN, DB, IRE, CS, ING, BBVA, BCS, RBS, HSBC, LYG
- ETFs: EUFN
Aug. 12, 2014, 11:59 AM
- Brazil's money laundering probe linked to state-run Petrobras (PBR -1.2%) is spreading to financial institutions as prosecutors investigate whether they met compliance requirements.
- Court documents cite units of banks including Citigroup (NYSE:C), Banco Santander (NYSE:SAN) and HSBC, as well as Brazil-based Itau Unibanco (NYSE:ITUB) and Banco Bradesco (NYSE:BBD) as holding accounts or executing operations linked to the alleged laundering of 10B reais.
- The refining division at Petrobras already is under investigation for runaway spending including alleged inflated contracts to suppliers, and is cited as one of the possible sources of cash being laundered in the case dubbed “Car Wash” by police.
Aug. 4, 2014, 7:43 AM
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